Expansion has LED industry enterprises contrarian, and unrelated enterprises to enter the LED industry, this is bound to cause excess capacity further, further deterioration of market competition. Excessive investment LED industry supply exceeds demand, many enterprises in the low technical barriers in the middle and lower reaches. LED enterprises will face the cruel future evolution. Only a few enterprises will gradually strengthen, and more enterprises will face the fate of elimination.
From this level, blindly follow suit, capacity expansion, not only can’t to do big business, but more to do more small, until they are ruthless. So, not because it is big.
In addition, most small and medium-sized enterprises in the industry are doing the downstream products of LED lamps and lanterns, small workshops of factories. Technical requirements is low due to terminal enterprise funds, low barriers to entry for this field competition is fierce. Market share in the future will be more and more to a brand, channel and innovation of enterprise, will face the industry reshuffle, there may be a large number of small and medium-sized enterprises in the competition.
Coping with a: take channel improvement internally
Facing the broad market, Chinese enterprises should not only stare at “expansion”, but “the science of uniting the internal strength”, master the core technology, to capture a bigger share of the market.
LED enterprises to develop, must to the road of brand management, brand depth and breadth is the enterprise an important weight to grab market share. As the household lighting market demand, branding is critical.
For those who want to rely on brand of LED lighting companies, is a channel is the world, channel construction is imminent. To this, in a rush on the BBS, chairman Zhang Yutao SanXiong, aurora lighting when it comes to channel mode that farther development later, will be concentrated in three modes: professional distribution model, furniture retail and emerging model of electricity. Between the rapid change in the lighting industry, manufacturers how to establish a professional channels together is particularly important for manufacturer and distributor of professional LED lighting requirements are constantly improve. Dealers now very need to rely on brand precipitation and user base, have the technology and application experience and complete product line, the production technology ability is very strong, able to provide professional services.